Business
Statement re. Proposal from Reabold Resources PLC
Statement re. Proposal from Reabold Resources PLC.
About this update from Deltic Energy Plc
[{"type":"text","content":"\n \n \n RNS Number : 1440T\n Deltic Energy PLC\n 16 July 2020\n \n \n \n NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.\n \n \n This is an announcement UNDER RULE 2.4 OF THE CITY CODE ON TAKEOVERS AND MERGERS (THE \"TAKEOVER CODE\") of a possible offer and is not an announcement of a firm intention to make an offer under Rule 2.7 of the TAKEOVER Code. there can be no certainty that an offer will be made, nor as to the terms on WHICH any offer will be made.\n \n \n \n \n The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (\"MAR\"). With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.\n \n \n 16 July 2020\n \n \n Deltic Energy Plc\n \n \n (\"Deltic Energy\" or the \"Company\")\n \n \n \n \n \n Statement regarding Proposal from Reabold Resources PLC\n \n \n \n \n \n The Board of Deltic Energy Plc (AIM: DELT), notes the announcement yesterday by Reabold Resources plc (\"Reabold\") regarding a potential all share offer to be made by Reabold for the issued and to be issued share capital of Deltic Energy (the \"Proposed Offer\"). The Board confirms that it received an unsolicited and non-binding approach letter from Reabold on 14 July 2020, which it unequivocally rejected on 15 July 2020. \n \n \n \n \n After consideration of the Proposed Offer with its advisers, the Board of Deltic Energy rejected the Proposed Offer for the following reasons:\n \n Value of the Proposed Offer\n \n The Proposed Offer does not place an appropriate value on Deltic Energy, given that it places no value at all on its significant non cash assets, not least its share of two potential high impact exploration wells with their partner Shell and does not even reflect the existing cash balance of Deltic Energy.\n Strategic rationale\n The Board of Deltic Energy does not believe there to be a strong rationale, commercial logic or sufficient operational synergies that would justify a combination of the two businesses....